WinningKPI - Banking - KPI for Measuring of % of Early Pay-Off Loans posted in category Banking KPI details: This indicator is for measuring the loans that are paid of early, as a % of the total number of loans, in a given time period. This is calculated by divided the total early pay-off loans by the total number of loans, in a given time period (e.g. one year).
This KPI can have different effects on the bank, as sometimes an early pay off can mean a loss in interest (lower interest when the loan is paid off early), hence a lost customer. However, the customer may take another loan, and in this case the bank is earning more.
Formula:
Total number of early pay-offs/ total number of loans x 100
KPI Units: %
KPI Time Frame: update annually
Posted by Oana Boteanu | Help to protect community: Flag for moderation
Ideas suggested by WinningKPI community:Here are comments:
Example:
A bank is measuring the % of Early pay –off loans, over a year period:
Total number of early pay-offs: 100
Total number of loans: 600
% of Early Pay-Off Loans
100/600 x 100 = 17%
Therefore, 17% of the bank’s loans, over the one year period, have been paid off earlier than the due date.
Oana Boteanu | + | September 13, 2012 at 10:09 am
×
Have something to add? Have some more thoughts? Help others and earn 5 credits!
×
Sign in to comment Please, register (there is a button 'Become a member of WinningKPI community') in the right sidebar or sign in to leave comments. It is free and more - you will have scores for each comment you post.
Articles in Banking category:Relevant articles:
|
Manage your KPIs with BSC Designer software